Taiwan-based chip manufacturer TSMC and SoC designer Mediatek are set to benefit tremendously in the market as the industry focus shifts towards 64-bit technology, a recent report from Barclays indicates.

As stated by Andrew Lu, Barclays’ Asia Pacific semiconductor analyst…

“Starting in the second half of 2014, we expect 64-bit ARM application processors and central processing unit upgrades for smartphones and the micro server market, due to better cost, improved power and thermal performance, and enhanced speed.”

The attempts to upgrade to these chips, Barclays notes, will benefit large contracted chip manufacturers such as TSMC, whose smartphone SoCs already account for 30%-40% of its revenues; Looking at 2015 and 2016, Lu estimates that the Taiwan company’s sales will increase by 2% annually as the industry gradually transitions towards 64-bit technology.

For Mediatek, which is benefiting from the recent “adjustments to its product mix and an increase in its average selling price,” and released its first 64-bit LTE chip in late February at “a mainstream price point,” the company’s sales in 2015 and 2016 are anticipated to rise by an estimated 2.5% and 2%, respectively.